Aboki, peter maisaje

5.3 Recommendations

The following recommendations were drawn from this study:

1. 
   Processing value chain still remains the major point to diversify primary products as shown by positive gross margin and value addition attained. Consequently heavy and sustained investment in the agricultural processing sector is recommended if agriculture is to become a business in Nigeria, away from its present subsistence state;
   
2. 
   High efficiency scores recorded from this study indicates the resilience of processors in processing groundnut oil despite challenges; therefore they need to be supported with energy saving equipment and technologies for increased productivity.
   
3. 
   Modern processors are have recorded more value added in groundnut processing therefore, should to be encouraged by the provision of infrastructure such as electricity, credit, good transportation among others;
   
4. 
   The significance of fuel-wood use signals negative environmental impact, therefore it is recommended that alternative sources of energy for processing need be provided instead of fuel-wood, for sustainable environment;
   
5. 
   Packaging significantly increased profit, therefore packaging firms should explore the opportunities of providing special packaging for oil to meet the needs of spectrum of oil consumers/buyers;
   
6. 
   Scarcity of raw groundnut for processing means that the sustenance and growth of the value chain is in jeopardy, therefore production of the crop must be encouraged beyond the present subsistence level. Improved seeds, and harvesting methods need be taught to producers as an extension service agenda;
   
7. 
   Finance inadequacy was felt by processors; hence an enabling environment for functional credit facilities provision that can be accessed by the processors is needed. This arrangement should also be attractive to private players and NGOs to support the processing industry; and
   
8. 
   Co-operative participation was very low among processors, therefore co-operatives formation by the processors is recommended. This will create opportunity for shared experiences and information on prices of both input and output, processing and marketing information among the processors for better business.
   

5.4 Addition to Knowledge

1. 
   This study has approached research both in basic and adaptive perspective, academic and business orientation. This is shown in the models and simple tools applied in the analysis which has added information for both research and business in the study area, which hitherto have not been available.
   
2. 
   The application of technical efficiency has been concentrated on the farm level production and but very rare in agro-industrial production (agro-processing). This research has applied the stochastic production function approach to agro-processing scenario in North Central Nigeria. With the technical efficiency scores of individual firms shown, processors can be advised individually.
   
3. 
   Having applied the Johasen test for market integration, which is a new approach to measuring market integration particularly in the study area, a new frontier has been reached.
   
4. 
   The study has revealed that GNO processing could be used by government and development agencies to reduce poverty and redundancy among women especially women in Purdah in the study area.
   
5. 
   This research has also brought to the forefront agricultural processing, not only as a tool for product diversification, and preservation of farm produce but also a profit making business activity.
   

5.5 Areas Needing Further Research

1. 
   There is need to do research on the two ends of the value chain, that is, upstream (groundnut production) and downstream (groundnut oil and groundnut cake consumption) to have a complete view of the value chain.
   
2. 
   Studies in participatory technology development (PTD) to find appropriate and affordable processing technologies for the processors are needed to improve productivity. This is necessary given the fact that many of these small-scale processing technologies can be fabricated locally hence can easily be accessible and affordable.
   
3. 
   A study on improved packaging of processed products is needed, because packaging provides a convenient way to present a product to a consumer. The research will help determine the appropriate packaging for the products, considering the attendant cost and returns connected to it.
   
4. 
   Price still remains the central factor in allocating resources in production, distribution and consumption of goods and services. Further research in price movement of groundnut and its processed products and indeed similar products within the same market will enhance pricing efficiency, as informed economic decisions will be made. The end result will be increased efficiency in the entire marketing system.
   

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